C.H. ROBINSON WORLDWIDE INC (CHRW)
US12541W2098 - Common Stock
We assign a fundamental rating of 5 out of 10 to CHRW. CHRW was compared to 17 industry peers in the Air Freight & Logistics industry. CHRW has an average financial health and profitability rating. CHRW is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year CHRW was profitable.
CHRW had a positive operating cash flow in the past year.
Each year in the past 5 years CHRW has been profitable.
In the past 5 years CHRW always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of CHRW (6.22%) is better than 76.47% of its industry peers.
CHRW has a better Return On Equity (22.91%) than 82.35% of its industry peers.
The Return On Invested Capital of CHRW (13.14%) is better than 94.12% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CHRW is significantly above the industry average of 7.79%.
The last Return On Invested Capital (13.14%) for CHRW is well below the 3 year average (24.32%), which needs to be investigated, but indicates that CHRW had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.22% | ||
| ROE | 22.91% | ||
| ROIC | 13.14% |
ROA(3y)11.34%
ROA(5y)11.26%
ROE(3y)44.73%
ROE(5y)39.13%
ROIC(3y)24.32%
ROIC(5y)21.77%
1.3 Margins
CHRW has a Profit Margin (1.85%) which is comparable to the rest of the industry.
CHRW's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 3.02%, CHRW is in line with its industry, outperforming 47.06% of the companies in the same industry.
CHRW's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 14.80%, CHRW is not doing good in the industry: 64.71% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of CHRW has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.02% | ||
| PM (TTM) | 1.85% | ||
| GM | 14.8% |
OM growth 3Y-10.03%
OM growth 5Y-11.22%
PM growth 3Y-16.04%
PM growth 5Y-14.31%
GM growth 3Y-0.18%
GM growth 5Y-1.87%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so CHRW is creating value.
Compared to 1 year ago, CHRW has more shares outstanding
CHRW has less shares outstanding than it did 5 years ago.
CHRW has a better debt/assets ratio than last year.
2.2 Solvency
CHRW has an Altman-Z score of 6.70. This indicates that CHRW is financially healthy and has little risk of bankruptcy at the moment.
CHRW has a better Altman-Z score (6.70) than 94.12% of its industry peers.
The Debt to FCF ratio of CHRW is 2.54, which is a good value as it means it would take CHRW, 2.54 years of fcf income to pay off all of its debts.
CHRW has a better Debt to FCF ratio (2.54) than 70.59% of its industry peers.
CHRW has a Debt/Equity ratio of 1.05. This is a high value indicating a heavy dependency on external financing.
CHRW has a Debt to Equity ratio of 1.05. This is comparable to the rest of the industry: CHRW outperforms 41.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.05 | ||
| Debt/FCF | 2.54 | ||
| Altman-Z | 6.7 |
ROIC/WACC1.58
WACC8.32%
2.3 Liquidity
CHRW has a Current Ratio of 1.40. This is a normal value and indicates that CHRW is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.40, CHRW is in the better half of the industry, outperforming 64.71% of the companies in the same industry.
CHRW has a Quick Ratio of 1.40. This is a normal value and indicates that CHRW is financially healthy and should not expect problems in meeting its short term obligations.
CHRW's Quick ratio of 1.40 is fine compared to the rest of the industry. CHRW outperforms 70.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.4 | ||
| Quick Ratio | 1.4 |
3. Growth
3.1 Past
The earnings per share for CHRW have decreased strongly by -57.24% in the last year.
The Earnings Per Share has been decreasing by -7.40% on average over the past years.
Looking at the last year, CHRW shows a very negative growth in Revenue. The Revenue has decreased by -28.75% in the last year.
The Revenue has been growing slightly by 1.13% on average over the past years.
EPS 1Y (TTM)-57.24%
EPS 3Y-4.61%
EPS 5Y-7.4%
EPS growth Q2Q-51.46%
Revenue 1Y (TTM)-28.75%
Revenue growth 3Y2.78%
Revenue growth 5Y1.13%
Revenue growth Q2Q-16.68%
3.2 Future
CHRW is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.79% yearly.
The Revenue is expected to grow by 3.05% on average over the next years.
EPS Next Y1.72%
EPS Next 2Y12.15%
EPS Next 3Y11.06%
EPS Next 5Y15.79%
Revenue Next Year-0.86%
Revenue Next 2Y1.8%
Revenue Next 3Y1.7%
Revenue Next 5Y3.05%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 21.81, CHRW is valued on the expensive side.
CHRW's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of CHRW to the average of the S&P500 Index (24.84), we can say CHRW is valued inline with the index average.
A Price/Forward Earnings ratio of 21.44 indicates a rather expensive valuation of CHRW.
The rest of the industry has a similar Price/Forward Earnings ratio as CHRW.
The average S&P500 Price/Forward Earnings ratio is at 21.35. CHRW is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.81 | ||
| Fwd PE | 21.44 |
4.2 Price Multiples
CHRW's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CHRW indicates a somewhat cheap valuation: CHRW is cheaper than 70.59% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.68 | ||
| EV/EBITDA | 15.3 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
CHRW has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)12.67
PEG (5Y)N/A
EPS Next 2Y12.15%
EPS Next 3Y11.06%
5. Dividend
5.1 Amount
CHRW has a Yearly Dividend Yield of 3.47%. Purely for dividend investing, there may be better candidates out there.
CHRW's Dividend Yield is rather good when compared to the industry average which is at 2.76. CHRW pays more dividend than 88.24% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.41, CHRW pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.47% |
5.2 History
The dividend of CHRW has a limited annual growth rate of 5.48%.
CHRW has paid a dividend for at least 10 years, which is a reliable track record.
CHRW has decreased its dividend recently.
Dividend Growth(5Y)5.48%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
CHRW pays out 89.69% of its income as dividend. This is not a sustainable payout ratio.
The dividend of CHRW is growing, but earnings are growing more, so the dividend growth is sustainable.
DP89.69%
EPS Next 2Y12.15%
EPS Next 3Y11.06%
C.H. ROBINSON WORLDWIDE INC
NASDAQ:CHRW (4/26/2024, 7:00:00 PM)
After market: 70.22 0 (0%)70.22
-0.04 (-0.06%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryAir Freight & Logistics
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap8.22B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.47% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
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Revenue beat(2)
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Revenue beat(4)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.81 | ||
| Fwd PE | 21.44 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)12.67
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.22% | ||
| ROE | 22.91% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 3.02% | ||
| PM (TTM) | 1.85% | ||
| GM | 14.8% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover3.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.05 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.4 | ||
| Quick Ratio | 1.4 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-57.24%
EPS 3Y-4.61%
EPS 5Y
EPS growth Q2Q
EPS Next Y1.72%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-28.75%
Revenue growth 3Y2.78%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y